New measures to enhance credit flow to the NBFC sector:
- RBI has increased the cap on a bank’s exposure to a single NBFC to 20% of its tier-I capital from 15% now.
- Bank lending to registered NBFCs (other than MFIs) for on-lending to Agriculture up to ₹10.0 lakhs; Micro and Small Enterprises up to ₹ 20.0 lakh and housing up to ₹ 20.0 lakh per borrower to be classified as priority sector lending.
